Payments, loans, transactions, and investments going through the regulated banking and capitals market has always been a given. But the future holds many more options for doing business. –This revolution is in its infancy, says Kiril Gelevski, Sales Leader at Seavus.
Seavus is a software company that was born in Lund during the IT boom, and due to one of the founders having roots in North Macedonia, they also have a large development unit in Skopje.
–We like the Swedish curiosity, power of innovation, and simple, democratic way of working. It’s something we’re continuously striving towards retaining in every place where we do business. Creating a team of Nordic and North Macedonian software experts is a recipe for success, delivering good results and economic benefits for our clients, says Kiril.
Alternative financial solutions
The innovative way of thinking is one of the reasons why Seavus is so far ahead in terms of finding innovative software solutions for monetary transactions. So far, the traditional banking and capital market being involved in payments, loans, and deposits has always been a given.
–But it’s actually not carved in stone. In the future, much of this will be carried out outside of the regulated markets. This will be faster, easier, and more democratic for corporate customers and consumers alike, claims Kiril. He says that there are three predominant trends you should keep an eye on.
Payment integration
The payment process is intertwined with other central business systems. When all systems are compatible, payment transactions can be carried out seamlessly. No “business days” delaying transactions.
Embedded finance
Digital solutions make it possible for businesses to, by themselves, handle payments and give credit outside of the traditional banking and financial systems. It could be a coffee shop where the customer buys a coffee and pays seven days later, without involving BankID or payment cards. The coffee shop grants the credit by itself and the customer places their order using a code. It could also be an e-commerce company where the customer has an account. A credit purchase is granted by the seller and the buyer can also deposit funds into the account.
Decentralized finance
Digital platforms that make it possible for people to, among other things, partake in investment funds, trade in derivatives and cryptocurrencies, insure oneself against risks, and get interest from liquid accounts – without going through traditional systems.
Big challenges
The finance sector currently going through a shift leads to big challenges for existing banking and finance companies. The digitalization processes of the last two decades have turned Sweden’s bank sector into one of the most digitalized in all of Europe, but the demand for change and adaptation is steadily increasing. Today’s consumers expect blazing-fast service, and if they don’t receive it, they can take their business elsewhere.
–People have great trust in the traditional actors, so those will still enjoy a large market. But they have to change their way of thinking. In the near future, customers will expect a transfer to Kenya being as fast as a Swish payment. So, the road to successful business models might go through fintech. But in a world with much complexity, more regulations, and more competition, coworkers with long experience in banking and finance will also be in demand, says Toni Trpkovski, CTO.
Read the original interview on Dagens Industry.